Chapter 9: Industrial Light Magic (8)
October 19, 1987.
In Europe, the Financial Times index in London fell 183.70 points, also a one-day record; Credit Suisse First Boston Index fell 11.3%; Germany's DAX fell 3.7%; France's CAC-40 fell 6.1%; Netherlands' AEX fell 7.8% and Belgium's BEL20 fell 10.5%.
In Asia, the Nikkei 225 stock average in Tokyo fell 620 points, or 2.35 percent; Hong Kong's Hang Seng Index plummeted 420.81 points, or 11.2 percent; Singapore's Straits Times Index plunged 12.15 percent on the 19th; Australia's All Ordinaries Index dropped 80.20 points
In the Americas, stock markets in Brazil and Mexico also fell by more than 20%.
Global stock frenzy sweeps across the globe!
From October 1, 1987 to October 19, 1987, in just over half a month, JR Investment made short sales of $230 billion in New York stocks, earning more than $32 billion. Excluding the $6 billion that Gruss Partners was entitled to for providing $5 billion, JR Investment's total earnings exceeded $26 billion.
With a capital of $600 million, leveraging $23 billion, in 18 days, it achieved an investment return rate of over 4333%, which is simply an investment myth!
October 19th evening, The White House in the United States.
After being briefed on the stock market turmoil, President Reagan immediately ordered that a special task force be formed with economic experts. "Alright, I've been told what's happened. Now let's go out and face the American press!"
The South Lawn outside the White House, all of America's major media outlets are waiting in anticipation.
We must hold our ground and America cannot repeat the mistakes of 1929!
"Don't panic, all of America's economic indicators are very healthy! Nobody can beat the Americans, only the Americans themselves can beat themselves. So let's calm down and do what we need to do! Starting tomorrow, everything will be fine! I guarantee it to God!"
Reagan tried to make himself look more relaxed!
"Grispen?"
"Mr. President!"
"Tell those commercial banks that the central bank has sufficient funds and they don't have to panic, the crisis will pass! Also, get Beck in here for me!"
"Mr. President!"
"Get in touch with those big corporations, tell them that the Central Bank and the United Commercial Bank have lowered interest rates, we guarantee all loans! Not a single one should be missed, we must rebuild their confidence! If you mess this up again, I'll suggest to Congress that they impeach you as Finance Minister!"
"Understood, Mr. President!"
On October 20th, the Federal Reserve made massive purchases of government securities, releasing currency while the central bank lowered interest rates by 0.75 basis points, and the Dow Jones Index showed a significant rebound!
But for an island nation, this is just the beginning of a nightmare!
"Mark, finish all your work at hand and then go to Taiwan, China. It can be a springboard for you to enter emerging markets!"
"Tell Robert to buy up all the Texas and Standard Oil stocks! Don't forget that Australian investor, yes, Mr. Holmes, he's the one, keep an eye on his 2400 shares of Texas Oil stock! We're going to take on that big shark on Wall Street!"
"Andrei, Bill, make a plan to snipe the apple, yes, I need you guys to start building positions from now on! It will be JR's new target after Carl Ikkan!"
Mitsui Bank, Tokyo Headquarters!
Mitsui Aiko sat on the tatami mat with a pale face as if she had lost all her spirit.
October 19th, news from the United States, Wall Street collapsed! The stock market of a certain island nation was strongly shaken, and at closing time, the Nikkei index plummeted by 620 points.
She knew that the crisis was far from over. If it weren't for the stock market closing, the island nation's stock market would have crashed like Wall Street!
How did she guess it! How did she calculate it! How did she know it!
Mitsui Aiko stared blankly at the Mitsui Real Estate Investment Report handed over by Ogura Edge, if Nikkei plummeted, then the island nation's real estate would follow suit, and for Mitsui Real Estate, this would be a disastrous blow!
But at this time, Mitsui couldn't withdraw the funds for the protective disk, and the big sell-off war with JR investment greatly damaged Mitsui's vitality!
What's wrong?
"Yutaka-kun, come in for a moment!"
Tadashi Tsubota, who was guarding outside the room, heard Mitsuko Aikawa's voice and immediately pushed open the door, then walked in with a bow.
"Miss Ai Zi!"
"Help me get in touch with the Governor of Tajima Province! I have something important to discuss with Lord Sugihara!"
Mr. Takashita of ōkura Province refers to none other than Japan's Finance Minister Toshiki Takashita!
"Hey!"
"Continue to monitor Tanaka Nana and her JR investments, if they make any moves, notify me immediately!"
"Hey!"
Doing so would not only resolve the crisis of Mitsui Real Estate but also give that woman a good lesson!
October 20th, morning, 9:30, Tokyo Stock Exchange opens!
When the island nation's citizens were in a state of panic, waving their stocks and preparing to sell them off, large institutions led by Mitsui took action, and the sell orders that had been thrown into the stock market disappeared almost instantly.
This undoubtedly gave the island nation's stock market a shot in the arm, and under the protection of large institutions, the island nation's selling frenzy was suppressed. At the same time, the Nikkei index gradually rose, and the market recovered most of its losses on October 19.
"Let that woman die!" This was an outburst of rage from Taisuke Sasanuma, the president of Tokyo Stock Exchange.
But just as Nishimura Taiji's words had been shouted out for a minute, the island nation's stock market suddenly changed, and a large number of sell orders appeared in the giant stock of the Island Nation Telephone and Telegraph Company, and the situation took a sharp turn for the worse.
On October 20, Tokyo stocks plummeted across the board, with the Nikkei index falling again by 3800 points, a decline of 14.6%.
"Takezo, I warned you long ago, never to be careless! You actually didn't take my words to heart, you're simply a good-for-nothing! Good-for-nothing!"
Mitsui Aiko was furious, her face pale with rage as she pointed at Take-shita's nose, spitting with anger. After great difficulty, after finally managing to corner that woman, the encirclement that had been closed in was torn open by a small mistake on Take-shita's part, and the gap grew larger and larger!
"I'm truly, deeply sorry, Miss Aiko. This is all my fault! Please, Miss Aiko, teach me how to resolve this crisis, I beg of you!"
Mitsui Aiko looked at Takeeda who was trembling with his head bowed, and let out a sigh. "Contact the four major securities companies and six major insurance companies, and have them all intervene to support the market! At the same time, lower bank loan interest rates and increase currency circulation, fully supporting the real estate and construction industries! If you don't want this island nation to become a second America, do as I say! Takeeda-kun, you must establish the people's trust in the government!"
Let the four major securities companies and six major insurance companies enter the market with their own accounts to support the disk, which is equivalent to giving them the opportunity to control the stock market. What else can be done? This is the only way that Mitsui Aiko can think of!
Mitsui Fudosan will not collapse! The real estate of the island nation will not collapse! The economy of the island nation will not collapse!
"Sorry to trouble you..."
"Mr. Takahashi, if this matter cannot be handled properly again, please resign from the Ministry of Finance voluntarily!"
October 20th, evening, Hotel Vil?Fontaine.
Paulson's investment team and Haruno Yamami had bloodshot eyes, disheveled hair, and this day was like sitting on a roller coaster, falling from the peak to the bottom of the valley, and then climbing back up to the peak. The fluctuating Nikkei index repeatedly challenged their nerves. Even now, Haruno Yamami could still hear her own heartbeat very clearly!
"The show is over, John, close out tomorrow!"
It wasn't until Jerry said that that the rock in Paulson Investment Group, Yuan Ya Mei and Tanaka Nana's heart finally fell!
Everything is finally going to end!
Everyone thinks it's unbelievable!
Unbelievable dumping strategy!
Unbelievable Dow Jones Index!
Incredible Jerry Goldsmith!
Tanaka Nana's infatuation is even more apparent! This makes Bob feel extremely uncomfortable, but he really has no way to deal with it! When facing the fluctuating stock market index, he can't be as calm and composed as Jerry, laughing at the ups and downs! This younger brother who is two and a half years younger than himself is indeed much stronger than him!
"Alright, boss!"
This is John Paulson's happiest time!
"Close the position and absorb all of CAP, SEGA, and," Jerry bit his thumb and thought for a moment with his head down, this action looked somewhat cute, "and Tokyo Broadcasting System (TBS Holdings) stocks. Fredo, you're in charge of this matter!"
"Alright, boss, I guarantee to complete the task!"
"As for investment returns? Wait another week and then re-enter the stock market, this Miss Ya Mei is clearer about that! Alright, we've been busy all day, everyone's tired, let's take a rest!"
Rest? Are you kidding me? After experiencing a thrilling day of ups and downs, who can sleep? These guys are all pumped up like they've been injected with adrenaline!
Even Tanaka Kanna is no exception!
"Jerry... sir?"
"Hmm? Nana, why aren't you going to sleep yet?"
"I can't sleep! Jerry, can you keep me company and talk with me?"
"Can't it wait till tomorrow? Kanae, I'm exhausted and want to sleep!" Jerry wasn't like those excited guys, honestly, he was really tired. As soon as he got back to his room, all his energy seemed to have been stripped away.
"Alright then... Jerry-kun... Jerry-kun... You're someone who doesn't even take off your clothes when you sleep..." Tanaka Nana saw that Jerry didn't even remove his clothes, and directly fell onto the bed. She reached out to help him take off his outerwear, but as soon as she touched Jerry's neck, she discovered that his body temperature was frighteningly high. She immediately stretched out her hand to touch Jerry's forehead, and with just this movement, she let out a startled cry!
"Paulson... Paulson... open the door... hurry up and open the door..."
Excited John Paulson was about to take a bath to calm his emotions, but he heard the urgent knocking on the door and the crying voice of Tanaka Nana, so he rushed out of the room!
Outside the door, Tanaka Kanae was hugging Jerry with great effort.
"Jerry-kun is sick...... he's got a fever...... it's burning...... high fever...... high fever......" Tanaka Kana-chan was somewhat incoherent!
"Oh, God!"
John Paulson yelled and then took Jerry from Tanaka Nanako's body, the two people rushed out of Hotel Vil Fontaine with Jerry in a hurry.